Chinese stocks weakened Monday as concerns about inflation and monetary policy tightening dented investor confidence.
China's stock index futures closed mixed Monday with the contract for February, the most actively traded, shrank 0.89 percent from the previous trading day to end at 2,970.2 points.
The ChiNext Index, launched by the Shenzhen Stock Exchange (SSE) on June 1, 2010, dropped 29.54 points, or 2.88 percent, to close at 994.97 Monday.
China's stocks closed lower Mondays with the benchmark Shanghai Composite Index down 0.72 percent, or 19.57 points, to 2,695.72 points.
Any decline for China's benchmark stock index will be "limited" as inflation isn't likely to run out of control, Bloomberg reported, citing China International Capital Corp (CICC) analysts.
China's faster-than-estimated economic growth has raised investors' speculation that the monetary authority will boost borrowing costs. Their tightening concerns dragged the Shanghai Composite Index down 2.7 percent last week.
Stocks on the Chinese mainland rebounded from the lowest close in almost four months. The advance came as investors speculated that recent declines were excessive, and the nation's biggest mutual fund boosted its holdings in real-estate companies.
Hong Kong stocks fell 126.84 points, or 0.53 percent, to close at 23,876.86 on Friday.
The ChiNext Index, launched by the Shenzhen Stock Exchange (SSE) on June 1, 2010, rose 4.12 points, or 0.4 percent, to close at 1,024.51 Friday.
China's stock index futures closed up Friday with the contract for January, the most actively traded, rose 1.15 percent from the previous trading day to end at 2985.4 points.
China's stocks closed higher on Friday as banks and property developers gained.
While the expectation of further monetary tightening may continue to drag down the Chinese stock market, analysts said that emerging sectors such as the high-end manufacturing industry may offer promise in 2011, thanks to favorable government policies and rosy earning prospects.